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Puerto Vallarta News NetworkNews Around the Republic of Mexico 

Airlines Complain About Mexico Arrival Fee Increase

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February 12, 2018

People are seen at Benito Juarez Airport in Mexico City, December 7, 2017. (Photo: Carlos Jasso/Reuters)

Mexico City - Aviation industry groups are pressing Mexico's government to reverse a January fee increase for international passengers arriving in Mexico City, claiming it is hurting the airlines and the country's economic competitiveness.

The fee was raised 25 percent to $51.12 per passenger this year to help finance a $2 billion bond for the construction of a new Norman Foster-designed airport, a $13.4 billion development due to open in 2020. Andres Manuel Lopez Obrador, the front runner candidate in Mexico's July presidential election, has vowed to scrap it.

The International Air Transport Association (IATA) and the Latin America and Caribbean Air Transport Association (ALTA), which represent airlines, opposed the increase, saying it made the existing Mexico City airport less competitive.

The biggest Mexican airlines using the airport are AeroMexico (AEROMEX.MX), Interjet and Volaris, and international airlines use it too.

The associations sent a letter to Deputy Transport Minister Yuriria Mascott & Deputy Finance Minister Miguel Messmacher last month, ALTA executive director Luis Felipe de Oliveira said last week.

In the letter, the associations warned the fee hike could result in 1.7 million fewer passengers per year and lead to lower overall revenues, he said. That would represent a drop of almost 11 percent from the 15.8 million international passengers served by the Mexico City airport in 2017, according to airport data.

So far, he said, the associations have received no reply.

Read the full article at Reuters.com.